Virtuals Protocol Struggles as AI Token Demand Collapses!
The once-booming AI agent launchpad, Virtuals Protocol, is seeing a sharp decline in daily revenue, reflecting waning demand for AI-driven tokens. The platform, which peaked at $1.1 million in revenue on January 2, has now plummeted to just $35,000 as of February 27, according to Dune Analytics.
Why Is Virtuals Protocol Losing Steam?
Despite its ambitious goal of enabling AI-powered virtual agents on the blockchain, Virtuals Protocol is struggling to attract users and maintain trading volume.
🚨 Key Signs of Decline:
- Revenue below $1,000 for 10 consecutive days on its flagship app on Base Layer 2.
- Daily AI agent creations remain below 10, signaling low adoption.
- Expansion to Solana has failed to boost demand.
VIRTUAL Token Plunges 78% From ATH!
Virtuals Protocol’s native token (VIRTUAL) has been battered by the broader crypto market downturn.
📉 VIRTUAL Price Performance:
- Dropped from $1.29 to $1.06 this week (per Coingecko).
- Down 45% over the last month amid a wider crypto sell-off.
- Cratered 78% from its January all-time high of $5.07.
The crash comes as Bitcoin has fallen 17% this month, dragging AI-related tokens down with it.
Is Virtuals Protocol Running Out of Time?
While AI-driven crypto projects remain a hot narrative, Virtuals Protocol's inability to sustain user growth could spell trouble for its long-term viability. Without stronger demand and adoption, its revenue crisis could deepen, forcing the project to rethink its strategy or risk fading into irrelevance.
